A nearly 40-year finance journey ends

Pascal Desroches retires as AT&T's CFO on December 31 after more than five years in the role and nearly four decades in finance. Jennifer Biry, formerly CFO and COO of McAfee, will succeed him on January 1, 2027.

Stepping in during a pivotal moment

Desroches became CFO in 2021 during one of AT&T's most consequential periods. The company separated DirecTV, divested WarnerMedia, cut its dividend, and refocused on telecom infrastructure including 5G and fiber.

Speed was the winning strategy

AT&T sold DirecTV and Time Warner assets early, before the Federal Reserve's 2022 rate hikes could impact their value. Desroches said hesitation would have meant lower proceeds and less money to reinvest in the business.

“Had we not done it as early as we did, proceeds would have been less, and the amount that we have to invest back into businesses would have been less.”

Communication paired with tough calls

Desroches emphasized that clear communication about wins and needed improvements was essential during the transformation. He credited CEO John Stankey for modeling this transparency throughout the company.

“Communication is something that is underappreciated.”

From Haiti to the C-suite

Born in Haiti and raised in Queens after immigrating at age five, Desroches grew up in a household where education was non-negotiable. He graduated from St. John's University and earned his MBA from Columbia Business School.

“There weren't a lot of people who looked like me in these jobs.”

Mentors who shaped his path

At KPMG, Lemar Swinney, the first Black partner in the New York office, became his mentor and sponsor. Later, Time Warner CEO Dick Parsons taught him to operate in ambiguity and welcome bad news.

The $150 billion investment thesis

AT&T invested more than 150 billion dollars in wireless and wireline networks, including spectrum, largely during Desroches' tenure. He treated capital spending as non-negotiable while executing an aggressive deleveraging plan.

“You can't save your way to prosperity.”

The dividend cut was harder

AT&T's annual dividend fell from more than 15 billion dollars in 2020 to about 8 billion dollars, freeing cash for reinvestment and debt reduction. The strategy freed up capital while maintaining investment discipline.

The payoff for shareholders

Last year AT&T generated more than 16 billion dollars in free cash flow and invested more than 22 billion dollars in the business. The stock returned roughly 65 percent over five years and nearly 95 percent over three years, outpacing the S&P 500.

Balancing agility with commitment

Desroches emphasized the need to adapt plans while avoiding abandoning projects midway. This balance between flexibility and follow-through defined his approach to AT&T's transformation.

“You have to have the agility to make changes to your plan, while knowing you can't abandon a project midway.”

Not stepping away entirely

Desroches sits on the board of Honeywell Aerospace, where he chairs the audit committee, and expects to join one or two additional boards or take on advisory work after leaving AT&T.

A marathon, not a sprint

Desroches advises finance professionals to treat their careers as marathons sustained by sleep, exercise, good nutrition, time with loved ones, and activities that bring joy. Neglecting these elements undermines optimal performance.

“If you don't make time for things that bring you joy, that replenish you, you're not going to be your optimal self.”

Paying it forward matters

Desroches hopes his career inspires others who look like him to pursue leadership roles. He sees mentorship and representation as essential to opening doors for the next generation of finance leaders.

“I really do hope that people look up and say, 'Okay, you know what? I want to be like him.'”